MANCHESTER Airport bosses say it is ‘‘bracing itself’’ for the fallout from the terror attacks on the US.
They are now facing a short-term dip in passenger numbers and profits as airlines and tour operators make drastic cuts.
But the consequences of the September 11 atrocities could actually benefit Ringway in the long run, said airport chairman Coun Brian Harrison.
‘‘There’s a lot of hesitancy and volatility in the sector. But it’s important we are well-placed to respond to moves within the aviation market, and are ready to expand again in the future.
‘‘Some tour operators which fly from a number of UK airports may decide to consolidate and we would be in a very strong position to benefit.’’
Before the attacks, passenger growth was running at about seven per cent. It was 3.05 per cent in September, but this was seen as creditable, as other airports suffered an overall drop.
Geoff Muirhead, chief executive of the Manchester Airport Group, which includes East Midlands, Bournemouth and Humberside Airports, said it would be some time before he could be clear about how the business has been affected by the attacks on New York and Washington.
‘‘We will continue to work with our airline partners and the government in matters like enhanced security to ensure that we do all we can to rebuild our industry’s prospects.’’
Results
Worries about the short-term future surfaced on Wednesday when Manchester Airport posted its results for the year to March 31.
Turnover was up from £254.7m to £264.5m while pre-tax profits were £36.6m, up 27 per cent on the £28.9m in the previous year.
Mr Muirhead said profits exceeded forecasts and had been achieved by careful control of costs and passenger growth above the market average. Manchester handled 18.6 million passengers and a record 123,000 tonnes of cargo last year.
The year also saw a record level of investment including the opening of the £172m second runway and the £241m purchase of East Midlands and Bournemouth from National Express, which made Manchester the second biggest airport operator in the UK after BAA.
Mr Muirhead said: ‘‘Despite being in a very competitive market, there was a seven per cent growth in traffic overall. In fact, use of domestic routes increased by 14 per cent, partly due to the problems on the rail network.’’
Coun Harrison said the results were ‘‘a considerable achievement,’’ given that 2000-1 was the first full year affected by the loss of duty free income from EU travel and that airline charges came down.
Those blows were offset by a strong performance in other commercial activities.
The final dividend is 3.55p, making the total for the year 3.92p. The 2,500 staff employed by the Manchester Airport company will enjoy a £300 profit share.
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